ATCO LTD -CLASS I (ACO-X.CA) Stock Fundamental Analysis
Canada - TSX:ACO-X - CA0467894006 - Common Stock
52.73 CAD
+0.02 (+0.04%)
We assign a fundamental rating of 5 out of 10 to ACO-X. ACO-X was compared to 21 industry peers in the Multi-Utilities industry. ACO-X has an average financial health and profitability rating. ACO-X has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
ACO-X had positive earnings in the past year.
In the past year ACO-X had a positive cash flow from operations.
In the past 5 years ACO-X has always been profitable.
ACO-X had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.64%, ACO-X is in line with its industry, outperforming 47.62% of the companies in the same industry.
The Return On Equity of ACO-X (9.28%) is better than 100.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 3.71%, ACO-X is in the better half of the industry, outperforming 71.43% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for ACO-X is in line with the industry average of 3.65%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.64% | ||
| ROE | 9.28% | ||
| ROIC | 3.71% |
ROA(3y)1.62%
ROA(5y)1.41%
ROE(3y)9.17%
ROE(5y)7.94%
ROIC(3y)3.92%
ROIC(5y)3.81%
1.3 Margins
ACO-X has a Profit Margin (8.65%) which is comparable to the rest of the industry.
In the last couple of years the Profit Margin of ACO-X has declined.
Looking at the Operating Margin, with a value of 24.24%, ACO-X is doing worse than 71.43% of the companies in the same industry.
ACO-X's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 75.61%, ACO-X is in line with its industry, outperforming 47.62% of the companies in the same industry.
In the last couple of years the Gross Margin of ACO-X has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.24% | ||
| PM (TTM) | 8.65% | ||
| GM | 75.61% |
OM growth 3Y2.6%
OM growth 5Y-3.18%
PM growth 3Y14.9%
PM growth 5Y-4.41%
GM growth 3Y-0.25%
GM growth 5Y-1.16%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ACO-X is destroying value.
ACO-X has about the same amout of shares outstanding than it did 1 year ago.
The number of shares outstanding for ACO-X has been reduced compared to 5 years ago.
The debt/assets ratio for ACO-X is higher compared to a year ago.
2.2 Solvency
ACO-X has an Altman-Z score of 0.77. This is a bad value and indicates that ACO-X is not financially healthy and even has some risk of bankruptcy.
ACO-X has a better Altman-Z score (0.77) than 80.95% of its industry peers.
The Debt to FCF ratio of ACO-X is 33.61, which is on the high side as it means it would take ACO-X, 33.61 years of fcf income to pay off all of its debts.
ACO-X has a Debt to FCF ratio of 33.61. This is amongst the best in the industry. ACO-X outperforms 100.00% of its industry peers.
A Debt/Equity ratio of 2.56 is on the high side and indicates that ACO-X has dependencies on debt financing.
ACO-X has a worse Debt to Equity ratio (2.56) than 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.56 | ||
| Debt/FCF | 33.61 | ||
| Altman-Z | 0.77 |
ROIC/WACC0.74
WACC5.04%
2.3 Liquidity
A Current Ratio of 1.61 indicates that ACO-X should not have too much problems paying its short term obligations.
ACO-X has a Current ratio of 1.61. This is amongst the best in the industry. ACO-X outperforms 100.00% of its industry peers.
ACO-X has a Quick Ratio of 1.45. This is a normal value and indicates that ACO-X is financially healthy and should not expect problems in meeting its short term obligations.
ACO-X's Quick ratio of 1.45 is amongst the best of the industry. ACO-X outperforms 100.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.45 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.20% over the past year.
The Earnings Per Share has been growing slightly by 6.10% on average over the past years.
Looking at the last year, ACO-X shows a small growth in Revenue. The Revenue has grown by 7.64% in the last year.
Measured over the past years, ACO-X shows a small growth in Revenue. The Revenue has been growing by 0.98% on average per year.
EPS 1Y (TTM)10.2%
EPS 3Y8.59%
EPS 5Y6.1%
EPS Q2Q%3.49%
Revenue 1Y (TTM)7.64%
Revenue growth 3Y4.84%
Revenue growth 5Y0.98%
Sales Q2Q%4.14%
3.2 Future
The Earnings Per Share is expected to grow by 4.72% on average over the next years.
The Revenue is expected to grow by 2.02% on average over the next years.
EPS Next Y7.51%
EPS Next 2Y3.99%
EPS Next 3Y4.72%
EPS Next 5YN/A
Revenue Next Year-0.6%
Revenue Next 2Y1.27%
Revenue Next 3Y2.02%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.90, the valuation of ACO-X can be described as very reasonable.
ACO-X's Price/Earnings ratio is in line with the industry average.
When comparing the Price/Earnings ratio of ACO-X to the average of the S&P500 Index (26.03), we can say ACO-X is valued rather cheaply.
With a Price/Forward Earnings ratio of 11.37, the valuation of ACO-X can be described as very reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ACO-X indicates a somewhat cheap valuation: ACO-X is cheaper than 61.90% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.27, ACO-X is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.9 | ||
| Fwd PE | 11.37 |
4.2 Price Multiples
ACO-X's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. ACO-X is cheaper than 76.19% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ACO-X is valued a bit cheaper than the industry average as 76.19% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.28 | ||
| EV/EBITDA | 8.12 |
4.3 Compensation for Growth
ACO-X's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.58
PEG (5Y)1.95
EPS Next 2Y3.99%
EPS Next 3Y4.72%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.83%, ACO-X has a reasonable but not impressive dividend return.
With a Dividend Yield of 3.83, ACO-X pays less dividend than the industry average, which is at 5.46. 95.24% of the companies listed in the same industry pay a better dividend than ACO-X!
Compared to an average S&P500 Dividend Yield of 2.38, ACO-X pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.83% |
5.2 History
The dividend of ACO-X has a limited annual growth rate of 3.93%.
ACO-X has been paying a dividend for at least 10 years, so it has a reliable track record.
ACO-X has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)3.93%
Div Incr Years31
Div Non Decr Years34
5.3 Sustainability
50.80% of the earnings are spent on dividend by ACO-X. This is a bit on the high side, but may be sustainable.
ACO-X's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP50.8%
EPS Next 2Y3.99%
EPS Next 3Y4.72%
TSX:ACO-X (11/4/2025, 7:00:00 PM)
52.73
+0.02 (+0.04%)
Chartmill FA Rating
GICS SectorUtilities
GICS IndustryGroupUtilities
GICS IndustryMulti-Utilities
Earnings (Last)
Earnings (Next)
Inst Owners29.15%
Inst Owner ChangeN/A
Ins Owners0.66%
Ins Owner ChangeN/A
Market Cap5.91B
Revenue(TTM)5.08B
Net Income(TTM)439.00M
Analysts78.67
Price Target57.41 (8.88%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.83% |
Yearly Dividend1.96
Dividend Growth(5Y)3.93%
DP50.8%
Div Incr Years31
Div Non Decr Years34
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-1.14%
Min EPS beat(2)-3.78%
Max EPS beat(2)1.49%
EPS beat(4)3
Avg EPS beat(4)2.9%
Min EPS beat(4)-3.78%
Max EPS beat(4)10.76%
EPS beat(8)7
Avg EPS beat(8)4.49%
EPS beat(12)9
Avg EPS beat(12)3.59%
EPS beat(16)12
Avg EPS beat(16)4.35%
Revenue beat(2)0
Avg Revenue beat(2)-9.2%
Min Revenue beat(2)-17.7%
Max Revenue beat(2)-0.7%
Revenue beat(4)0
Avg Revenue beat(4)-10.59%
Min Revenue beat(4)-18.52%
Max Revenue beat(4)-0.7%
Revenue beat(8)0
Avg Revenue beat(8)-12.35%
Revenue beat(12)1
Avg Revenue beat(12)-9.18%
Revenue beat(16)2
Avg Revenue beat(16)-8.91%
PT rev (1m)1.03%
PT rev (3m)0.77%
EPS NQ rev (1m)-0.31%
EPS NQ rev (3m)-1.21%
EPS NY rev (1m)0%
EPS NY rev (3m)4.04%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.9 | ||
| Fwd PE | 11.37 | ||
| P/S | 1.16 | ||
| P/FCF | 16.28 | ||
| P/OCF | 2.52 | ||
| P/B | 1.25 | ||
| P/tB | 1.74 | ||
| EV/EBITDA | 8.12 |
EPS(TTM)4.43
EY8.4%
EPS(NY)4.64
Fwd EY8.8%
FCF(TTM)3.24
FCFY6.14%
OCF(TTM)20.96
OCFY39.74%
SpS45.28
BVpS42.2
TBVpS30.23
PEG (NY)1.58
PEG (5Y)1.95
Graham Number64.85
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.64% | ||
| ROE | 9.28% | ||
| ROCE | 4.79% | ||
| ROIC | 3.71% | ||
| ROICexc | 3.82% | ||
| ROICexgc | 4.03% | ||
| OM | 24.24% | ||
| PM (TTM) | 8.65% | ||
| GM | 75.61% | ||
| FCFM | 7.15% |
ROA(3y)1.62%
ROA(5y)1.41%
ROE(3y)9.17%
ROE(5y)7.94%
ROIC(3y)3.92%
ROIC(5y)3.81%
ROICexc(3y)4.06%
ROICexc(5y)3.97%
ROICexgc(3y)4.27%
ROICexgc(5y)4.16%
ROCE(3y)5.04%
ROCE(5y)4.9%
ROICexgc growth 3Y1.58%
ROICexgc growth 5Y-6.25%
ROICexc growth 3Y1.11%
ROICexc growth 5Y-6.55%
OM growth 3Y2.6%
OM growth 5Y-3.18%
PM growth 3Y14.9%
PM growth 5Y-4.41%
GM growth 3Y-0.25%
GM growth 5Y-1.16%
F-Score6
Asset Turnover0.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.56 | ||
| Debt/FCF | 33.61 | ||
| Debt/EBITDA | 5.88 | ||
| Cap/Depr | 238.99% | ||
| Cap/Sales | 39.13% | ||
| Interest Coverage | 2.29 | ||
| Cash Conversion | 113.97% | ||
| Profit Quality | 82.69% | ||
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.45 | ||
| Altman-Z | 0.77 |
F-Score6
WACC5.04%
ROIC/WACC0.74
Cap/Depr(3y)212.07%
Cap/Depr(5y)195.52%
Cap/Sales(3y)33.77%
Cap/Sales(5y)31.75%
Profit Quality(3y)134.57%
Profit Quality(5y)187.54%
High Growth Momentum
Growth
EPS 1Y (TTM)10.2%
EPS 3Y8.59%
EPS 5Y6.1%
EPS Q2Q%3.49%
EPS Next Y7.51%
EPS Next 2Y3.99%
EPS Next 3Y4.72%
EPS Next 5YN/A
Revenue 1Y (TTM)7.64%
Revenue growth 3Y4.84%
Revenue growth 5Y0.98%
Sales Q2Q%4.14%
Revenue Next Year-0.6%
Revenue Next 2Y1.27%
Revenue Next 3Y2.02%
Revenue Next 5YN/A
EBIT growth 1Y15.06%
EBIT growth 3Y7.57%
EBIT growth 5Y-2.22%
EBIT Next Year427.2%
EBIT Next 3Y80.42%
EBIT Next 5YN/A
FCF growth 1Y-5.22%
FCF growth 3Y-8.79%
FCF growth 5Y2.94%
OCF growth 1Y13.97%
OCF growth 3Y5.63%
OCF growth 5Y7.34%
ATCO LTD -CLASS I / ACO-X.CA FAQ
What is the ChartMill fundamental rating of ATCO LTD -CLASS I (ACO-X.CA) stock?
ChartMill assigns a fundamental rating of 5 / 10 to ACO-X.CA.
Can you provide the valuation status for ATCO LTD -CLASS I?
ChartMill assigns a valuation rating of 5 / 10 to ATCO LTD -CLASS I (ACO-X.CA). This can be considered as Fairly Valued.
How profitable is ATCO LTD -CLASS I (ACO-X.CA) stock?
ATCO LTD -CLASS I (ACO-X.CA) has a profitability rating of 5 / 10.
What is the valuation of ATCO LTD -CLASS I based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ATCO LTD -CLASS I (ACO-X.CA) is 11.9 and the Price/Book (PB) ratio is 1.25.
How financially healthy is ATCO LTD -CLASS I?
The financial health rating of ATCO LTD -CLASS I (ACO-X.CA) is 5 / 10.